How do global information systems affect supply chain ...

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How do global information systems affect supply chain profitability?
 
  What will be an ideal response?

Question 2

Graham & Hilda Corp is a firm that offers enterprise software solutions to independent retailers.
 
  The firm recently entered into a contract with a major national retail chain to develop and implement proprietary software that tracks inventory, restocking, and supplier information. Which of the following actions will be most difficult to perform when implementing the new information system?A) upgrading the computer systems used by the retail chain
  B) writing the programs to create the software
  C) changing the structure of existing databases that reflect supplier and customer data
  D) training the employees to use and manage the new system

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Answer to Question 1

Global information systems increase supply chain profitability. Supply chain performance is driven by four factors: facilities, inventories, transportation, and information. Every one of these drivers is positively affected by global information systems. Because of global information systems, facilities can be located anywhere in the world.
Information systems reduce inventories and hence save costs. They can be used to reduce or eliminate the bullwhip effect. They also support just-in-time (JIT) inventory techniques worldwide. Information systems allow businesses to choose the delivery option that optimizes the value they generate. Finally, global information systems produce comprehensive, accurate, and timely information.

Answer to Question 2

D

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Excellent

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